Annual Review 2012 2012 PLA Highlights 2012

London Gateway Port River Pageant Olympics

First vessel arrived alongside the Spectacular River Pageant on The PLA was at the heart of the new quay in December 2012 and, the Thames, staged to mark the run-up to the Games, with the ten weeks later, the first quayside Diamond Jubilee of Her Majesty Torch Relay ending outside City cranes were delivered; London the Queen. PLA prepared the Hall, David Beckham on the river Gateway is on track for opening river, helped plan the event and heading to the Olympic Park in in the fourth quarter of 2013. oversaw its safe running for the opening ceremony and the more than 1,000 vessels. arrival on the river of vessels from cruise ships to sailing ships, super yachts and helicopter carriers.

Contents Chairman’s statement 3 Chief executive’s operational review 9 Main developments 10 Safety of navigation 13 Chief harbour master’s statement 15 Conserving the environment 17 Thames Oil Spill Clearance Association 17 Partnership and accountability 19 PLA people 21 Health & Safety 23 Port trade 24 Statistics 26 Board & committees 28 Summarised Report & Accounts 29 Working in partnerships 33 Annual Review 2012 1

Passenger travel Inland waterways freight New vessel

Over six million passenger Crossrail started moving PLA signed a £6 million contract journeys on the Thames, with tunnelling spoil from its for a Mooring Maintenance Vessel, operators running special services Docklands Transfer Station the single biggest investment in to riverside Olympic venues. and Northfleet, principally to more than 20 years. Construction Wallasea Island, where the of the vessel is underway at Manor RSPB are creating a nature Marine’s Portland yard. reserve. 2 Annual Review 2012 Annual Review 2012 3

Chairman’s statement

The Thames shone on the world stage Port trade fell during the year by five Dame Helen Alexander in 2012. It hosted, first, the Queen’s million tonnes to 43.7 million tonnes, a Diamond Jubilee River Pageant and decline of more than 10%. The principal then, some six weeks later, several reason for this was the closure of the events around the Olympic Games: Coryton oil refinery, which in 2011 had from the many vessels arriving to moor, handled more than 10 million tonnes of and the passenger services to riverside cargo. Following the closure, some of the Games venues, to the final leg of the refined oil products were handled at other Torch Relay. Set against this was a river terminals, but the overall volume of decline in port trade, which fell in line oil-related cargoes was markedly reduced. with challenging economic times. Volumes of most other cargoes handled River use in the port were also lower than in 2011; The River Pageant to mark the Diamond only tonnages of unitised cargoes, Jubilee was the biggest single event ever cereals and biomass were higher than the to take place on the Thames. The river year before. Unitised cargoes increased today is constrained with bridges, piers by 2% to 14.8 million, cereals recovered and other infrastructure, so the pageant to 739,000 tonnes, a 35% increase, and posed an unprecedented challenge for 794,000 tonnes of biomass was handled the PLA and the wider river community. – a new cargo for the RWE npower trial There were two years of planning, at Tilbury Power Station. co-ordination with partners, selection Developments with inland waterways of 1,000 vessels, checking them on freight were very positive last year. The arrival and marshalling them into position quantity of goods being handled rose by ahead of the event; this drew on our more than 60% to 3.3 million tonnes as collective experience, resources and, long-planned use of the river for major at times, ingenuity. We were proud to infrastructure projects started in earnest. welcome all the vessels and their crews By the end of the year Crossrail had to London, even prouder that they started its major tunnelling drives and were safe through the event and that spoil was being transported by river from everyone headed safely home. Northfleet to Wallasea Island; operations More than six million passenger at the Limmo site, just east of the Isle journeys were made on the river during of Dogs, were also set to start. Thames 2012. Many people were encouraged Water too has been making extensive to take their first trips on the river to use of the river to service the Lee Tunnel reach riverside Olympic venues. They project, which means that Bow Creek is enjoyed improvements to the key being used now as much as it was in its Tower and Greenwich piers, completed heyday of the 1960s. by early summer, and special services More trained people will be needed to operated by the main passenger boat make the most of the increasing demand companies on the days of events at the to use the river. We are working as a riverside venues. Many people were founder member of the Thames Training also able to enjoy unique views of the Alliance to ensure that there is a growing Thames from the new Cable Car which number of trainees coming on to the river opened in June. who have support and a clear path for their professional development. 4 Annual Review 2012 Annual Review 2012 5

Chairman’s statement

Safety on the river can be improved; The legal process to agree the structure Financial Highlights £m it’s something we’re working hard of the deficit repair of the Pilots’ National to support as the river gets busier. Pension Fund (PNPF) was completed 2012 In 2012 there were 38 navigational during 2012, so our share of the deficit incidents of note, eight more than is included in our accounts for the first £46.4 million the preceding year. That’s why our time. We expect to begin deficit repair Turnover navigational safety team works with payments to the PNPF during 2013. We £6.5 million river users, to improve safety for are also in the process of completing the Operating Profit vessels and operations. During 2012, triennial valuation of our main PLA pension we removed the requirements that fund. We continued to contribute to the £1.9 million were no longer relevant, and simplified deficit repair for this fund in accordance Net cash inflow from operating and updated others to make the most with the recovery plan and also paid an activities of new technologies. This work was additional £2.5m during the year. complemented by improved training for crews working on the river and In the short term the financial outlook for new vessel standards, such as those the PLA is governed by the lower levels of for Thames freight vessels, that we port trade. Our income should improve as developed in conjunction with industry and when trade starts to pick up, in line and the Maritime & Coastguard Agency. with the UK economy and completion of investment projects on the river. Funding Finances pension deficit repairs is expected to The underlying operating profit was be a significant financial draw on the £2.9m in 2012, after allowing for a organisation for the foreseeable future. £3.6m actuarial reduction to a provision for historic liabilities. The 2011 operating Our prospects profit was £5.7m. Long-term prospects for port trade remain strong, although we have concerns that Turnover fell by 0.3%. The loss of growth may be limited in the immediate revenue from the closure of Coryton oil future, principally as a result of trends in refinery was partially offset by income the UK and global economies. from the use of PLA moorings during the Olympics, assistance given to the Oikos The Thames is fundamentally important terminal at Canvey during the re-building as an artery to the main markets in the of their jetty and the continued use of UK. That is why DP World committed a PLA launch during the Blackfriars to invest £1.5 billion in the new London Bridge project. These one-offs are not Gateway port and also why Vopak, Shell expected to recur. and Greenergy will be redeveloping the Coryton oil refinery site as an oil After allowing for additional costs products terminal. Operations will start relating to the Olympics and one-off at both sites this year. Others investing redundancy costs, underlying operating on the river include the Port of Tilbury, expenditure rose by 3.1%. The both in its London Container Terminal redundancies were necessary to rebase and London Distribution Park, and costs in the post-Coryton era. Stolt Neilsen at their newly-acquired Dagenham liquid bulk storage facility. 6 Annual Review 2012 Annual Review 2012 7

Chairman’s statement

We, at the PLA, do all we can to support The summer of 2012 underlined the growth, investment and job generation importance of sporting and leisure on the river. For example, we provide pursuits. We are echoing this in changes expert marine advice on new projects, we have made, creating a new Assistant model marine operations in our ship’s Harbour Master’s role, supporting bridge simulator and supply marine recreational navigators to enjoy the river services such as diving, laying moorings in safety. His increasing engagement with and providing navigational aids. rowing, sailing and paddling clubs along the river should help the sportsmen and We are concerned that there is a risk to women of the future. investment and growth on the river if 58 miles of the tidal Thames is designated Our people as a Marine Conservation Zone (MCZ). We are privileged to have some 345 This would add costs for existing skilled and committed people in the PLA operations and potentially substantial today. For many of them the highlight of extra costs for new infrastructure the year was the part they played in the developments including London Queen’s Diamond Jubilee Pageant, Gateway, the Thames Tunnel, and the whether shepherding the 1,000-strong Thames Estuary 2100 flood defence flotilla down the river, working at our base works. We welcome the Government’s at the Thames Barrier Navigation Centre economic and social realism, and or keeping business as usual going in the genuine economic/environmental UK’s second largest port. The award of balance, in requiring that the proposals the Member of the Victorian Order to our for a Thames MCZ are studied further in chief harbour master, David Phillips, was the light of these considerations. great recognition of the PLA collective efforts around the Pageant. Looking beyond port trade, we share the Mayor of London’s goal to double the On behalf of the Board I want to thank number of annual passenger journeys them all for everything achieved in 2012, on the river from six to twelve million by and for the work they continue to do for 2020. The improved piers, more people river users. who have used river transport for the first time, and the arrival of new vessels will be important catalysts for future growth in passenger traffic on the Thames. As Dame Helen Alexander part of the River Concordat we continue Chairman to work towards this goal. 9 April 2013 8 Annual Review 2012 Annual Review 2012 9

Chief executive’s operational review

The summer of 2012 saw a great We are matching investment by our Richard Everitt public demonstration of the skills and customers with continued improvements capabilities of the PLA workforce. in our equipment and facilities. These Our marine experts led the planning, range from the strengthening of the preparation and safe running of a Denton Wharf quay to enable the handling River Pageant which was on an of larger crane lifts, to the investment in unprecedented scale, plus numerous the new £6 million Mooring Maintenance events in the run up to the Olympic Vessel that will replace our two 40-year- opening ceremony and the arrival and old mooring/salvage vessels. subsequent departure of 20 large vessels in port for the Olympics. We consulted on our charges for 2013 in an environment of depressed At the same time, we continued to economic activity, reduced income oversee safety of navigation along 95 and an expectation of flat trade for miles of river. These waters are home to the immediate future. Our proposal, one of the UK’s leading ports, busiest subsequently adopted, was an increase inland waterway for freight, growing in charges at the prevailing rate of retail passenger traffic and a variety of water- price inflation for September 2012. borne sporting activities. This was the first time in six years that we have increased charges in line Our main challenge in the year was not with inflation. In addition, as the legal the River Pageant, but a sharp decline processes around the Pilots’ National in port trade following the closure in May Pension Fund drew to a close, and of the Coryton oil refinery. We see little liabilities were crystallised, we had to immediate prospect of growth in trade, adopt a pilotage surcharge to start to and consequently our income, with the address the share of the deficit in that result that we have had to reorganise to scheme for which the PLA is judged to reduce our cost to ensure that we remain be liable. healthy financially. As a result of this reorganisation, all additional people hired Navigational safety is our core job, one for the busy period of summer events that can only be achieved if our staff, were released and 15 permanent PLA whether they work ashore or afloat, stay employees left the organisation, the vast safe. It was therefore concerning to see majority through voluntary redundancy. five Lost Time Accidents during the year. We are looking at further opportunities for None resulted in extended recovery increasing efficiency. periods, nevertheless, we continue to focus on safety across the operation. The changes we have made are aimed at creating an organisation of the right As we start on a new year I extend my size for the income and demands of heartfelt thanks to the PLA employees the future. In the medium term we who worked so hard through 2012. have reasons to be optimistic; with The changes we had to go through at London Gateway’s first berth opening the end of the year were difficult but later this year, the development of the necessary as we secure the long-term Coryton site as an oil products terminal, future of the organisation. prospects for the permanent conversion of Tilbury Power Station to biomass fuel, development of the London Distribution Park by the Port of Tilbury and the Richard Everitt development on the way at Stolthaven Chief Executive Dagenham bulk liquid storage terminal. 9 April 2013 10 Annual Review 2012 2012 Main developments

Port trade Travel/Tourism

Port trade down by 10% to 43.7 million tonnes 6.4 million passenger journeys on the river (2011: 6.7 million)

The biggest decline in crude oil imports following the closure Improvements completed to Tower and Greenwich piers, in of the Coryton oil refinery, owned by Petroplus time for the Olympics

Vopak, Shell and Greenergy announced plans to redevelop Cruise vessels moored next to HMS Belfast, in West India Coryton as a fuel import terminal, called Thames Oil Port Dock and the Royal Docks through the Olympic fortnight

Increases in throughput in unitised goods, cereals and biomass Super yachts moored in West India Dock and the Royal Docks

London Gateway Port welcomed first vessel to its new quayside, carrying cranes for the development

Investment in facilities continues at the Port of Tilbury, Ford, Stolthaven Dagenham, RWE npower Tilbury Power Station and Oikos

Many vessels visited specially for the Olympics: a helicopter carrier, cruise ships, super yachts and sailing ships. Annual Review 2012 11

Inland waterways freight Sport/Leisure

Thames operations moved 3.3 million tonnes of goods/ Spectacular River Pageant took place on the river on 3 June, materials between terminals in 2012, an increase of 1.26 marking the Queen’s Diamond Jubilee million tonnes compared to 2011 Olympic torch carried on the river as part of the Olympic Crossrail started moving tunnelling spoil from its Docklands opening ceremony Transfer Station and Northfleet, principally to Wallasea Island, where the RSPB is creating a nature reserve Speedboat carried the Olympic torch to the Olympic Park as part of the opening ceremony Thames Water tunnelling project resulted in the most intensive use of Bow Creek for freight since the 1960s, Cable car across the river from Greenwich peninsula moving more than 100,000 tonnes of spoil from the Beckton completed ahead of the London Olympics construction site Nine major sporting events on the river, with 35 other regular Thames Training Alliance set up with PLA support to ensure sporting events provision of skilled labour for new river freight operations

Transport for London started assessment of river transport for moving Northern Line extension tunnelling spoil

PLA dredged Barking Creek to facilitate trade to Pinns and Kierbeck wharves 12 Annual Review 2012 Annual Review 2012 13

Safety of navigation

The PLA’s main responsibility is to maintain safety of navigation along 95 miles of the Navigational Safety Statistics tidal Thames. In doing this, we are governed by the Port Marine Safety Code, which requires that we review regularly the hazards and risks presented to safe navigation 2012 of the tidal Thames, and put in place suitable safety measures. Our control centres at Woolwich and Gravesend oversee safe navigation over 400 square miles; the largest 38 Vessel Traffic Services area in the UK. Navigational incidents* Main developments during 2012 1 Marine hazards* o Planned, organised and ran the navigational safety arrangements for the Queen’s Diamond Jubilee River Pageant, the largest ever flotilla of vessels on the tidal Thames * Navigational incidents and marine hazards above specified severity level in o Oversaw numerous river events and unique vessel arrivals through the run up to and the Safety Management System during the London Olympics and Paralympics

o Harbour masters and pilotage teams planned for the official opening of London Gateway alongside existing port operations

o Port Marine Safety Code compliance confirmed to the Maritime Coastguard Agency (MCA) after three-yearly review

o Developed and published the PLA Marine Safety Plan 2012-2014

o Implemented the new Thames Byelaws, after their formal approval by the Secretary of State for Transport

o Launched Tidal Thames Navigators Club, complementing our specialised services for leisure users

o Developed the new Thames Freight Vessel standard in conjunction with industry and the MCA; due for completion Spring 2013

o Gained MCA accreditation for our Vessel Traffic Services (VTS) training courses and subsequently ran the first professional course for VTS operators from outside the PLA

o Liaised closely with Crossrail and Thames Water, helping them plan for maximum use of the river for their projects, including assessing traffic planning to accommodate all river users

Port Marine Safety Code The PLA meets the standards set out in the Port Marine Safety Code and continues to maintain an effective Navigational Safety Management System, relevant to the current trade and wide range of marine operations and activities within the port. This is achieved through effective risk control and demonstrated by a continuing downward trend in incident numbers.

Annual Review 2012 15

Chief harbour master’s statement

2012 was a momentous year for the tidal Thames. The eyes of the world were on the David Phillips river on 3 June for the Diamond Jubilee River Pageant and then again on the night of 27 July, as the river played its part in the Olympic opening ceremony.

Our job as always was to facilitate the safety of navigation through careful planning and co-ordination, combined with implementing additional safety measures such as new moorings, revised passage plans and extra safety boats among many others. That it all worked is testament to the ‘can do’ attitude at the heart of the PLA and the professionalism of the people with whom we worked. We didn’t, and don’t, say ‘yes’ to every new proposal or idea; however we do our best to help people develop their plans for using the river, so their goals can be achieved without compromising the safety of navigation and with minimal impact on other river users.

Throughout the unprecedented events of the year we maintained our focus on the core job of running the UK’s busiest and most diverse tidal river. This year we will bring the same professionalism to the challenges ahead as new facilities open and new activities begin at existing ones.

David Phillips Chief Harbour Master 16 Annual Review 2012 Annual Review 2012 17

Conserving the environment

We have two main areas of environmental focus. We protect and conserve the unique Environmental statistics marine environment of the tidal Thames by assessing the potential environmental impact of any new river developments, licensing them with necessary conditions. 2012 We also work to improve the environmental performance of our own operation.

2,583 tonnes Main developments during 2012 Carbon footprint* o Close working with the Marine Management Organisation as the new marine 240 tonnes licensing regime continued to bed in; successful joint working on several schemes, Driftwood recovered streamlining processes for operators

25 o Extensive engagement around the proposed designation of the Thames as a Thames21 clean-ups Marine Conservation Zone, highlighting concerns about the impact of designation on economic activity along the river *CO2 equivalent tonnes o Solar panels were installed on the principal building at Denton Wharf and generated their first electricity; it is predicted that they will produce more than 40,000kWh per year, the majority of which will be used by the PLA

o Climate Change Adaptation Report (2011) reviewed; monitoring climate change impact remains the principal activity

o Repairs to the upper river revetment wall at Oliver’s Ait as part of the implementation of the management plan for the Ait

o Implementation of the long-term tree management programme on the river bank around Beverley Brook

o Rainwater harvesting provided almost two thirds of the water used to flush toilets at Marine House, Denton

Thames Oil Spill Clearance Association

The PLA runs the Thames Oil Spill Clearance Association (TOSCA) on behalf of all the river’s oil terminal operators. TOSCA provides an immediate response to any incidents or spills in the Thames of either mineral or vegetable oil. The Association is funded through a charge on all oil transhipments in the port.

Main developments during 2012 o There were seven call outs and no reportable spills

o Exercises were completed at Shellhaven and Oikos Terminal Jetty 18 Annual Review 2012 Annual Review 2012 19

Partnership and accountability

The PLA looks after navigational safety on 95 miles of river. We work with a range of Community Activity Statistics partners and stakeholders along the river; from rowers to passenger boat skippers; developers to local councils. We are committed to helping people make the most of 2012 the river in safety and aim to be open and accessible to everyone. Our open public meetings, held at venues along the river, give people an opportunity to raise any +12,000 questions or concerns with us. Children visited Riverside Code Trailer Main developments during 2012

84 o We supported the establishment of the Thames Training Alliance, formed with Sporting events held on the river river users to provide an improved and structured training path for new entrants to the industry, as the river workforce expands to meet the needs of future projects such as the Thames Tunnel

o Our second annual Stakeholder Forum was held where stakeholders covered river and PLA topics direct with the PLA Board and Executive team

o The new method for calculating River Works Licences fees for residential use (fees for houseboats) was adopted, following further consultation and discussions with houseboat representatives

o During the year we held two public meetings, seven river user consultative forums and participated with our exhibition and safety code units at the Mayor’s Thames Festival

o More than 3,000 school children learnt about the port and the river through our education programme, run by Thames Explorer Trust

o Working with the charity Thames21, we supported 25 foreshore clear-ups along the river

o Sons of the Thames Rowing Club won the Rowing Code Prize for the first time; the runners-up were London Oratory School Boat Club and Barn Elms Boat Club

o More than 12,000 children visited our Riverside Code Safety trailer at 14 public events 20 Annual Review 2012 Annual Review 2012 21

PLA people

The PLA’s essential services are delivered by a core workforce of 345 people. A large number of our employees have been seafarers and their marine expertise is complemented by that of skilled electrical and marine engineers, planners, civil engineers, hydrographers and environmental experts. We invest continuously in developing the knowledge and skills of employees to ensure that they can maximise their contribution to the organisation.

Main developments during 2012 o As part of the process of reshaping the business for the future, increasing efficiency and adjusting to reduced income, 15 people left the PLA, the majority taking voluntary redundancy o A number of successful secondments were made to assist with the planning and safe running of the Queen’s Diamond Jubilee River Pageant o Staff ‘well-being’ days, flu jabs and consultations continued, attracting more than 100 staff members o PLA teams continued to compete in river events including the Admiral of the Port Challenge, Great River Race, TOW Barge Race and Thames Sailing Barge race 22 Annual Review 2012 Annual Review 2012 23

Health & Safety

Our aim is to reduce to the absolute minimum, accidents and cases of ill health in the Health & Safety Statistics workplace. Good health and safety management and high standards of performance in health and safety are of the utmost importance. All our employees should expect to 2012 work in a safe environment and to go home safe at the end of the working day.

5 Our work continuously to improve our health and safety performance is furthered Lost time accidents through our Health & Safety Management System, tracking industry best practice and 16 benchmarking our performance. Near miss reports Main developments during 2012

o Safety performance was disappointing, with the total number of recorded accidents rising to 25 in 2012 (19 in 2011), five of which were Lost Time Accidents (two in 2011)

o Work to improve safety performance included delivery of central toolbox talks, with role-specific talks delivered by individual departments

o Our Health & Safety Management System was recertified to OHSAS 18001 after a three-yearly assessment

o Sixteen near misses reported

o PLA safety benchmark comparison:

The PLA 2012 performance gives an equivalent figure of 1,405 per 100,000 employees.

The Health & Safety Executive national figure for 2010/11 is 363 per 100,000 employees.

Port Skills and Safety’s 2011 figure for the UK Port Industry is 1,755 per 100,000 employees. 24 Annual Review 2012 2012 Port trade

At the PLA we oversee operations in the UK’s second biggest port. Port Trade (million tonnes) We keep the main shipping channels open, co-ordinate shipping movements and 2010 48.1 provide expert ships pilots. Vessels calling at more than 70 terminals on the Thames provide trade connections with over 80 countries around the world. They carry 2011 48.8 everyday essentials that keep us warm, clothed, fed and entertained. Research shows that the port’s economic contribution to the capital and surrounding regions amounts 2012 43.7 to over 46,000 full-time jobs and £3.7 billion to the economy each year.

London Trade 2012 UK Port Traffic 2012*

Cereals 1% Grimsby & Immingham 60.1 Biomass 2% London 43.7 Forest products 2%

Metals 3% Milford Haven 39.8

Southampton 38.1 Other 9% Tees & Hartlepool 34.0

Liverpool 32.9

Aggregates 15% Felixstowe 26.3

Forth 25.3

Dover 22.9

Clyde 15.4

* Source: Department for Transport

Containers & Trailers 34%

Oil, crude & products 34% Annual Review 2012 25

43.7 million tonnes 15.4 million tonnes 14.8 million tonnes Total Trade Fuel Containers & Trailers

Total trade through the port fell by 5.1 Crude oil throughputs were reduced Unitised traffic through the port million tonnes in 2012 to 43.7 million dramatically following the Coryton oil increased to 14.8 million tonnes, up by tonnes. The principal reason for the refinery closure. However, as a result 2% on 2011. The increase in trade was decline was the closure of the Coryton some terminals benefited by taking up focused at London Container Terminal. oil refinery at the end of May. Increased the shortfall in capacity. Tilbury Power volumes of unitised, cereals and Station imported 0.8 million tonnes of biomass were handled; the volume of biomass for its trial using the fuel. all other types of cargo declined.

646,000 tonnes 6.7 million tonnes 6.2 million tonnes (circa 500,000 vehicles) Aggregates Other Cargo Vehicles

Movements of aggregates in the port The volume of other categories of cargo Terminals on the Thames again handled fell by 1.4 million tonnes (17.5%). Most handled in the port – sugar, vegetable an estimated more than 500,000 of this fall was due to the substitution oils, metals, chemicals and general cargo vehicles, both imports and exports. The of imported aggregates with material – declined overall by 286,000 tonnes 646,000 tonnes of vehicles was down dredged for the London Gateway (4.4%). Within this group cereal trades by 5,000 tonnes (0.8%) on 2011. scheme. had a good year increasing by 193,000 tonnes; sugar tonnages, however, continued at reduced levels with Tate & Lyle having problems sourcing raw sugar. 26 Annual Review 2012

Statistics

Financial Highlights £m 2010 2011 2012 Turnover 44.3 46.5 46.4 Operating profit (including joint venture) 7.7 5.7 6.5 Net cash inflow from operating activities 7.8 4.4 1.9

Operational Statistics 2010 2011 2012 Pilotage Service No. of pilotage acts 11,307 11,589 11,399 No. of pilotage delays 154 128 30 Percentage of total pilotage acts delayed 1.40% 1.10% 0.26%

Navigational Safety Statistics 2010 2011 2012 Navigational Safety Navigational incidents* 32 30 38 Marine Hazards* 1 1 1 Hydrographic Surveys Hydrographic surveys completed 320 340** 360 Diving Operations Diving operations 118 137 148

* navigational incidents and marine hazards above specified severity level in the Safety Management System ** corrected from previous report of 240

Environmental statistics 2010 2011 2012

Water use (litres) Rainwater harvesting (Marine House) 92,000 65,000 104,000

PLA carbon footprint (CO2 equivalent tonnes*) Carbon emissions 1,941 1,772 2,583 PLA Energy Use (kilowatt hours) Electricity consumed 1,513,632 1,506,822 1,087,602.5 Electricity generated 0 0 321 Gas* 616,463 607,736 536,872 PLA waste generation and recycling (tonnes) Pre-segregated recyclable 10.3 20.62 11.205 General waste 10.43 29.34 33.3 Hazardous waste 6.52 5.60 10.51 Driftwood recovered (tonnes) Tonnage of material recovered from the river 314 248 239.35

* Carbon footprint calculation now completed using Carbon Footprint Ltd’s Business Calculator; previously we used Carbon Trust calculator. Annual Review 2012 27

TOSCA Statistics 2010 2011 2012 Call-outs 7 11 7 Reportable spills 2 1 0 Oil encountered (including sheen) 0 8 4 False alarms (nothing found) 0 6 3 Other call outs (safety of life, etc.,) 0 0 0

Community Activity Statistics 2010 2011 2012 Riverside code trailer No. of events attended by Riverside Code Trailer 13 13 14 No. of children who visited Riverside Code Trailer (estimated) 7,000 10,000 12,000 Stakeholder Meetings No. of public meetings held 3 4 2 No. of people attending public meetings 111 110 48 No. of stakeholder forums n/a 1 1 No. of people attending stakeholder forums n/a 100 81 Sporting events No. of sporting events held on river 44 60 84

Personal Health & Safety Statistics 2010 2011 2012 Lost Time Accidents 6 2 5 Near miss reports 17 18 16 28 Annual Review 2012

Board & committees as at 9 April 2013

The PLA Board comprises a Chairman and up to three non-executive members appointed by the Secretary of State for Transport, and up to four non-executive members appointed by the authority. The authority may also appoint up to four executive members. There were nine members of the PLA Board as at 9 April 2013.

There are six committees of the Board. Membership of the Board and committees as at 9 April 2013 is listed below:

Board Members Management Executive Committee Chairman Chief executive Dame Helen Alexander (N*, R*) R L Everitt

Vice Chairman Chief financial officer J F Mills, CBE (A, L*, N, C*, R) B Chapman

Non-executive members Chief harbour master W D Everard, CBE (A, R, P*) D G Phillips, MVO R D M Lenthall (L, C, P) Director of corporate affairs A J Quinlan (A*) A F Gale R S Steedman, CBE (L, P)

Director of human resources Executive members G W Witham B Chapman (Chief Financial Officer) (P)

R L Everitt (Chief Executive) (L, C, P) Director of marine operations D G Phillips, MVO (Chief Harbour Master) (L) P Steen

Secretary to the Board Secretary and general counsel R D Crighton MCMI, Barrister R D Crighton Note: committee chairmen are denoted by (*)

Committees of the Board Audit Committee (A)

Licensing Committee (L)

Nominations Committee (N)

Remuneration Committee (R)

Pensions Committee (P)

Charitable Donations Committee (C)

(Note: the PLA chairman and vice chairman are ex-officio members of any Committee of the Board of which they are not already a member) Annual Review 2012 29

Summarised Report & Accounts

The following pages contain a summarised version of the annual report and accounts for the year ended 31 December 2012. The information is only a summary of the information contained in the PLA’s consolidated financial statements as set out in the Annual Report and Accounts. It does not contain sufficient information to allow for as full an understanding of the results of the group or of its financial position as would be provided by the Annual Report and Accounts. The Annual Report and Accounts are available via the PLA website (www.pla.co.uk). The auditors’ report on the Annual Report and Accounts for the year ended 31 December 2012 was unqualified.

Statement Of Members’ Responsibilities The members are responsible for preparing the Annual Report and Accounts in accordance with applicable law and regulations.

The members of the Port of London Authority are required to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the PLA and of the profit or loss of the PLA for that period. In preparing those financial statements, the members are required to:- o select suitable accounting policies and then apply them consistently; o make judgements and estimates that are reasonable and prudent; o state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and o prepare the financial statements on the going concern basis unless it is inappropriate to presume that the PLA will continue in business, in which case there should be supporting assumptions or qualifications as necessary.

The members confirm that they have complied with the above requirements in preparing the financial statements.

The members are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the PLA and enable them to ensure that the financial statements comply with Section 42 of the Harbours Act 1964, as amended by the Transport Act 1981. They are also responsible for safeguarding the assets of the PLA and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The members are responsible for the maintenance and integrity of the corporate and financial information included on the PLA’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. 30 Annual Review 2012

Consolidated Profit & Loss Account for the year ended 31 December 2012

2012 2011 £000 £000

Turnover including share of joint venture 46,396 46,546 Less: share of joint venture 610 599 Turnover excluding share of joint venture 45,786 45,947 Operating expenditure 39,664 40,435 Operating profit excluding joint venture 6,122 5,512 Share of operating profit of joint venture 362 170 Operating profit including joint venture 6,484 5,682 Net interest (17) (306) Other financial (costs) / income (71) 623 Profit on ordinary activities before taxation 6,396 5,999 Taxation (593) (1,847) Profit for the financial year 5,803 4,152

All results are in respect of continuing activities.

There is no difference between the profit on ordinary activities before taxation and the retained profit for the financial year stated above and their historical cost equivalents.

Consolidated Statement of Total Recognised Gains and Losses (STRGL) for the year ended 31 December 2012

2012 2011 £000 £000 Profit for the financial year 5,803 4,152 Actuarial loss on PLA pension schemes (27,906) (33,503) Share of actuarial loss on Pilot’s National Pension Fund (13,801) 0 Current UK corporation tax on defined benefit pension schemes 671 669 Movement in deferred tax relating to defined benefit pension schemes 4,130 171 (31,103) (28,511)

Share of actuarial loss on joint venture defined (317) (500) benefit pension scheme (net of tax) Total recognised losses relating to the year (31,420) (29,011)

The PLA also has an unrecognised loss of £962,000 for the year ended 31 December 2012 (2011 loss of £726,000) in relation to a pension scheme which has an irrecoverable surplus (see note 26a) Annual Review 2012 31

Balance Sheets as at 31 December 2012

Consolidated PLA 2012 2011 2012 2011 £000 £000 £000 £000

Fixed assets Intangible assets 247 254 247 254 Tangible assets 28,916 27,128 28,916 27,128 Investments 0 0 2 2 Joint venture:- Share of gross assets 1,219 1,218 0 0 Share of gross liabilities (231) (312) 0 0 Share of pension deficit (954) (838) 0 0 34 68 0 0 29,197 27,450 29,165 27,384 Current assets Stocks 179 169 179 169 Debtors – amounts due less than and more than one year 20,913 20,095 7,988 7,169 Liquid resources 31,000 35,000 26,252 29,707 Cash and bank balances 6,172 4,070 6,172 4,070 58,264 59,334 40,591 41,115 Current liabilities Creditors: amounts falling due within one year 5,878 5,503 5,817 5,479 Net current assets 52,386 53,831 34,774 35,636 Total assets less current liabilities 81,583 81,281 63,939 63,020 Creditors: amounts falling due after more than one year 2,048 2,507 2,048 2,507 Provisions for liabilities and charges 14,240 17,439 14,240 17,439 16,288 19,946 16,288 19,946 Net assets excluding pension deficits 65,295 61,335 47,651 43,074

Pension deficit PLA defined benefit pension scheme deficits (68,717) (47,677) (68,717) (47,677) Share of Pilot’s National Pension Fund deficit (14,340) 0 (14,340) 0

Net (liabilities) / assets including pension deficits (17,762) 13,658 (35,406) (4,603) Reserves Profit and loss account (17,762) 13,658 (35,406) (4,603)

These financial statements, which comprise the consolidated profit and loss account, the consolidated statement of total recognised gains and losses, the consolidated and PLA balance sheets, the consolidated cash flow statement and the related notes were approved by the Board of Members on 26 March 2013 and were signed on its behalf on 9 April 2013 by:-

Dame Helen Alexander R L Everitt B Chapman Chairman Chief Executive Chief Financial Officer 32 Annual Review 2012

Consolidated Cash Flow Statement for the year ended 31 December 2012

2012 2011 £000 £000 £000 £000

Net cash inflow from operating activities 1,946 4,429

Returns on investment and servicing of finance Interest received 496 251 Interest paid (6) 0 Net cash inflow from returns on investments and servicing of finance 490 251

Taxation UK Corporation tax paid (260) (1,742) (260) (1,742) Capital expenditure and financial investment Purchase of tangible fixed assets (4,437) (2,522) Sale of tangible fixed assets 44 267 Net cash outflow from capital expenditure (4,393) (2,255) and financial investment Net cash (outflow) / inflow before use of (2,217) 683 liquid resources and financing

Management of liquid resources Decrease / (increase) in short term investments 4,000 (10,109) Increase / (decrease) in cash in the year 1,783 (9,426) Annual Review 2012 33

Working in partnerships

Partnership with river users and accountability to stakeholders is one of the PLA’s strategic priorities. As part of our partnership work we have set up a number of consultative and liaison groups; we also actively participate in groups set up by others. Listed on this page are the principal consultative and liaison committees run by the PLA, together with the outside bodies on which we are represented.

PLA Consultative and Liaison Committees London Emergency Services Liaison Panel (LESLP) London Home and Water Safety Council Major Customers Forum London Resilience Forum PLA Safe Mooring Group London Resilience Media Group PLA/Environment Agency (EA) Liaison London Resilience Transport Group PLA/London River Services (LRS) Liaison London & SE Port Welfare Committee PLA/Maritime and Coastguard Agency (MCA) Liaison London Waterways Commission PLA/Medway/Harwich Tripartite Group Maritime Advisory Group PLA/Metropolitan Police Liaison Maritime London PLA/LGP Marine Liaison Group MCA/DfT MARPOL Consultative Panel PLA/London Port Health Authority Liaison MCA Hire Boat Licensing Working Group PLA/Watermen and Lightermen’s Company Liaison MCA Inland Waterways Freight Vessel Standards Technical PLA Harbour Masters Recreation and Navigational Group Working Group Port of London Health and Safety Liaison Group MCA Seagoing and Inland Waterways Commercial Vessel Port Security Committee Regulatory Working Parties River Users Consultative Forum (Lower & Estuary) MCA Sunk Users Group River Users Consultative Forum (Upper) Medway Partners Emergency Planning Group Thames Frieght Standard Working Group National Inland Waterways Freight Standards Steering Group Thames Oil Spill Clearance Association (TOSCA) National Marine Safety Co-ordinating Committee Thames Strategy Group National Maritime Development Group PLA Representation on outside bodies National Maritime Security Committee (Ports Panel) allhallows Business Houses Council National Offshore Renewable Energy Liaison Group Association of Diving Contractors National Sea Training Trust Association of Police Health & Safety Advisors North Central London Local Resilience Forum (London & South East Group) North East London Local Resilience Forum Bexley Emergency Planning and Liaison Group North Kent Chamber of Commerce CAMBRIA Trust North West Kent College Training Trust Central London Local Resilience Forum North West Kent College Corporate Board Cliffe Conservation and Community Partnership OFCOM/MCA Maritime Advisory Technical Committee Steering Group Parliamentary Maritime Group Committee on Shipping Hydrography (MCA) Port Skills and Safety Limited Cory Environmental Trust in Thurrock River Basin Liaison Panel Defra/DfT Marine Consents Liaison Group River Users Health & Safety Forum Defra Water Framework Directive Stakeholder Groups SITPRO Ports and Borders Group Defra Ports Liaison Group South East London Local Resilience Forum Dredging Liaison Group South Essex Environmental Protection Group Emergency Planning Society Oil Pollution Professional Interest Group South West London Local Resilience Forum Essex Resilience Forum and associated groups Thames21 Freight Transport Association Thames & Dover Police Portal Group Gravesham Chamber of Commerce Thames Estuary Partnership Gravesham Local Business Partnership Steering Group Thames Estuary Research Forum Greater London Authority (GLA) Working Groups Thames Estuary Standing Environment Group Greenwich Emergency Planning and Liaison Group Thames Landscape Strategy Hampton – Kew Havering and Thurrock Riverside Environmental Thames Resilience Group Strategy Group Thames Strategy Kew – Chelsea Health and Safety Executive and Statutory Harbour Thames Traditional Rowing Association Authorities Committee (HESHA) Thames Training Alliance IMarEST Small Ships Group Integrated Coastal Thurrock District Association of Industries Hydrography Steering Group (UKHO) UK Delegation to International Maritime Organisation (IMO) International Association of Lighthouse Authorities UK Harbour Masters Association International Harbour Masters Association United Kingdom Major Ports Group Kent and Medway Oil Pollution Group UKMPG/BPA Environmental Policy Group Kent Resilience Forum and associated groups University College London Geomatics Faculty London Borough of Richmond Emergency Planning Forum Westminster Biodiversity Action Plan Steering Group London Borough of Southwark Emergency Planning Forum Veolia Havering Riverside Trust London Chamber of Commerce and Industry

Photos by: Samuel Ashfield; Phil Bisset; Ben Fitzpatrick; Wayne McCabe; Gavin Parsons; Rob Powell; Nick Strugnell; Andy Wallace Also images courtesy of: Crossrail; Thames Clippers; UBM Bakers’ Hall 7 Harp Lane, London, EC3R 6LB

London River House Royal Pier Road, Gravesend, Kent, DA12 2BG

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